Gold surges past $4,300 in a week; UBS analyzes four major driving forces behind the rally

Bitget

News

智通财经2026/08/09 04:16

Show original

Bitget offers one-stop trading for cryptocurrencies, stocks, and gold. Trade now!

A welcome pack worth 6200 USDT for new users! Sign up now!

The spot gold price surged over 7% in a single week, successfully standing above the $4,300 per ounce mark, forcefully breaking through the previous consolidation range, with bullish sentiment rising significantly.
On the news front, the US non-farm payrolls data for July came in well below expectations, leading the market to strongly anticipate that the Federal Reserve will keep rates unchanged in September. The US Dollar Index fell under pressure, directly boosting the upward momentum for dollar-denominated precious metals.
Institutional analysis points out that the core catalyst behind the sharp rebound in gold prices lies in the market’s growing anticipation of the reopening of the Strait of Hormuz. The phase restoration of the geopolitical risk premium has strengthened the safe-haven allocation demand for precious metals.
In addition to geopolitical factors, four other factors also provide collective support for the rise in gold prices: active and persistent Chinese buying interest, net inflows into gold ETFs, the trend toward a looser global interest rate environment, and the return of market focus to reserve diversification strategies.
After gold prices swiftly surpassed the round-number threshold, short-term overbought signals have emerged. The future trend will depend heavily on the direction of oil prices, the progress of US-Iran tensions and developments in the strait, as well as changing market expectations for Federal Reserve policy and the correlation with US Treasury yields.
In addition, joint intervention by the US and Japanese governments last week to stabilize the yen helped prevent disorderly selling of US Treasuries, reduced the opportunity cost of holding gold, and provided extra indirect support for gold prices.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

Understand the market, then trade.

Bitget offers one-stop trading for cryptocurrencies, stocks, and gold.

Trade now！

The US CPI report to be released next Tuesday is undoubtedly the most closely watched data of the week. Economists generally expect the annual inflation rate to slow slightly, but core inflation may remain high, reflecting persistent price pressures in the services and housing sectors. According to the latest data, the Federal Reserve remains cautious, emphasizing the need for further confirmation that inflation is sustainably approaching the 2% target before considering rate cuts.

智通财经•2026/08/09 04:45

New York crude oil surpassed $77 in after-hours trading, up over 1% for the day

智通财经•2026/08/09 03:01